For all of us casino goers, the goal is the same – to win big. But what happens afterward? The reality of winning has only one question – how will I get paid? Casinos offer plenty of options. As a player, it is important to know what you have at your disposal, and how to proceed once you secure the win.
As we said, casinos like to cater to players here, so you’ll have a few options to choose from. Are you aware of your options? Do you know about the rules that go with each of the options? Probably not. That’s where we’re going to jump in for you. Keep reading and learn a bit about your payout options.
For casinos and players alike, this is the most straightforward payout option. For smaller wins, and we’re talking hundreds or a couple of thousands of dollars, you will receive your money on the spot, on hands. It’s quick, it’s simple, and for the majority of players having their money in their pockets straight after a win is the best way to go. The only thing to worry about, if you are leaving a casino, is carrying that amount of cash with you. Once you leave the casino, you’re in charge of your security, so that’s something to think about.
As we said, carrying any amount of cash is not everyone’s cup of tea. Some people do not like to carry even a few hundred dollars. So, we’re getting to a second option in terms of payment casinos such as the ones you’ll find if you click here offer and that’s check payments. When taking your money in checks, the payment is a bit slower. The casino needs to verify your identity and any possible tax implications before handing you the money. Considering that these checks can only be cashed in by the person whose name is written on them, they provide an extra layer of security which is something many players desire. This way the chances of theft or loss are lowered when compared to cash payout.
Lump Sum vs. Annuity Payments
Here, we’re moving toward the real talk of casino wins. When you win a massive sum of money in a casino, things need to get a little bit more serious. Casinos love to take things slowly and safely when it comes to winning big. This is why you have two great payout options – lump sum and annuity payments. The first one is what many players love.
All of the money all at once. End of story. If you have a spending spree in front of you, this is the way to go, as you don’t have time to waste when it comes to receiving your funds. The annuity payout is quite different. If you opt for this option, you will receive your winnings a set number of times in equal portions.
We can be talking about weeks, months, or years, all depending on the size of your winning portion and the agreement you made with the casino in question.
If you want a steady and regular income for a prolonged amount of time, this is the way to go. Depending on your financial situation at the time of winning, you will decide between a lump sum of annuity payments. Either way, the money will be coming your way.
Taxes and Casino Payouts
Winning in a casino is a nice feeling, and when you win a lot, it is easy to forget about your legal responsibilities. This is not a smart thing to do, especially if you’ve won in a casino in the United States of America. Taxes can’t be evaded and they shouldn’t, as that will put you on the blacklist of law enforcement agencies, mostly the IRS.
So, when you take a lump sum, you need to report the entire sum to the authorities. This will be recorded as an income for the tax year when you win. This can be a hard knock on your regular tax liability. On the other hand, when you decide on annuity payments you will make the tax hit smaller, and it will be spread across several years.
An additional detail you need to have in mind is the difference between federal and state laws. So, while federal is a must, you need to know if your state puts taxes on gambling wins or doesn’t. This can make a huge difference when you start spending your money. If you manage to win really big it would be wise to hire a tax professional to take a look at your obligations and responsibilities.
The Option to Sell Annuity Payments
Even when your deal with the casino itself is over, it doesn’t mean you can’t change the payout structure. For example, if you opt for an annuity payment, but during a certain period you want to opt out you can do that too. Today, you have companies that specialize in buying annuity payments from casino winners. They will give you a lump sum, and take over any future payment you might have.
Of course, there’s a catch. You will not receive the entire sum. These companies work on a percentage and that’s where their earnings lie. So, if you feel that you’re not prepared to part with some parts of your money you shouldn’t end your annuity payments.
Before deciding on selling your annuity payments ensure that you at least talk with a financial advisor. Even if you opt for a lowered lump sum and cooperation with one of these agencies, it is necessary to know the ins and outs of the entire deal.
Winning big in a casino is a dream come true. But it is not one to be taken lightly. Leaving a casino with a ton of money is not wise, recommendable, or even allowed by some casinos. Above you have a few of the main options the majority of casinos give to their players.
Opting for any will allow you to leave the casino with your money in the way you find most suitable. With a few things to pay attention to, you now know what you have in front of you. All that is left to do is to win big, and that’s the hardest part.